“We anticipated that people wouldn’t want to be discriminated against because of the power train,” Goller said. “We’ve gone the path which others are now following.”

Analysts say BMW is better positioned than rivals to meet the EU’s tougher emissions targets without selling EVs at deep discounts. It is also less exposed to Trump’s tariff war since 65 percent of its cars sold in the US are built locally, and it is also a net exporter from the US.

“From an operational standpoint, I think BMW, outside China, is very well placed,” said UBS analyst Patrick Hummel. “They’re pretty much where they need to be in terms of the EV share in the mix.”

Jefferies analyst Philippe Houchois has described BMW, which has in the past drawn criticism from investors for hedging its bets on power train technology, as “the most thoughtful [original equipment manufacturer] over the years.”

This year, the group will launch its Neue Klasse platform for its next generation of EVs, with longer range, faster charging, and upgraded software capabilities, which Houchois said would “consolidate a lead in software-defined vehicles, multi-energy power train, and battery sourcing.”

But China has proved challenging to the Munich-based carmaker. BMW and Mini sales in the world’s largest automotive market fell more than 13 percent last year to 714,530 cars, a more severe slump than rivals such as Mercedes-Benz and Audi.

Analysts at Citigroup have warned that BMW remains vulnerable to China, where intensifying price pressure in an overcrowded market has been forcing carmakers to discount prices. Sliding sales in the country, where BMW still delivers just under a third of its cars, “remains our key concern,” the Citi analysts said.

Goller acknowledged China was unlikely to return to the explosive economic growth that first attracted foreign carmakers to flood into the country.

“But we still see a growing market… and therefore, our ambition is clearly that we want to participate in a growing market,” he said.

Goller added that it shouldn’t come as “a shock” that Chinese brands were rapidly taking domestic marketshare from foreign carmakers.

“The cars are really good from a technology perspective,” he said. “But we are not afraid.”

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https://arstechnica.com/cars/2025/02/citing-ev-rollercoaster-in-us-bmw-invests-in-internal-combustion/